Viacom's Paramount Pictures inks deal with Chinese film companies

Viacom's Paramount Pictures has signed a three-year deal with two Chinese film companies, Shanghai Film Group and Huahua Media, the companies said on Thursday.

As part of the agreement, Shanghai Film Group and Huahua Media will co-finance Paramount's full film slate.

Viacom shares spiked higher in afternoon trading but pared gains to close at $39.80.

(Reporting by Tim Baysinger)